Our Prime Minister Sri.Narendra
Modi has Launched Sukanya Samridhi
Yojna‘ (girl child prosperity scheme) with the vision to
provide for Girl Child Education and Her Marriage Expense. Sukanya Samriddhi
Account Scheme is a small deposit scheme for girl child, as part of ‘Beti
Bachao Beti Padhao’ campaign, which would fetch yearly interest rate of 8.1% (WEF 01.01.2018) and
provide income tax deduction Under section 80C of the Income Tax Act,1961.
Depositor– For this scheme Depositor is an individual who on behalf of a
minor girl child of whom he or she is the guardian and deposits amount in account
opened under this scheme. Under the revised rules definition of depositors also
include Account Holder.
Who can be ‘Guardian’ under this Scheme –
In relation to a minor girl Child Guardian means
(i) either father or mother; and
(ii) where neither parent is alive or is incapable of
acting, a person entitled under the law for the time being in force to have the
care of the property of the minor.
(iii) Under the Revised Rules Guardian Includes Legal
Guardian too, Which means Parents of adopted Child adopted are also Guardian
under the revised rules.
One Girl One Account– Depositor cannot open multiple or more than one account in
the name of a Girl Child. Rules been changed to specify that more than once
account cannot be opened for a Girl Child even if depositor are different.
Can be opened for
Maximum two girls – Natural or legal guardian of a girl child allowed to open one
account each for two girl children’s subject to below conditions.
Account opening for
more than two girls – Under this scheme
natural or legal guardian of the girl child shall be allowed to open more than
two Accounts for girl children’s in a family if such children are born in the
first and/or in the second order of birth, on production of a certificate to
this effect from the competent medical authority regarding the birth of such
multiple girl children in the first two orders of birth in a family. But
account under the scheme not allowed to be opened for girl child born in second
or successive birth if first order of birth itself in a particular family
results in two or more surviving girl children.
Age Restriction
for Opening of Account- The account may be opened by the natural or legal
guardian in the name of a girl child from the birth of the girl child till she
attains the age of ten years and any girl child, who had attained the age of
ten years, one year prior to the commencement of these rules shall also be
eligible for opening of account under these rules. Scheme is been commenced
from 02.12.2014.
Documents to Open the Account and how to open the account- Birth certificate of a girl child in whose name the
account is opened shall be submitted by the guardian at the time of opening of
the account in post office or bank along with other documents relating to
identity and residence proof of the depositor.
Where one can open
account?– At any post office in India doing savings bank work and Branch
of a commercial bank authorised by the Central Government to open an account
under Sukanya Samriddhi Account Scheme.
Document required for opening Sukanya Samriddhi account are:-
·
Birth documents of girl child (Birth certificate)
·
Address proof of the Guardian
·
Identity proof of the Guardian
·
3 Photos of of the Guardians and 3 photos of the
child
·
Pan card and Aaadhar card copies of of the Guardians
How is the interest rate on deposits calculated?
The government fixes interest rates on quarterly basis based
on the G-sec yields. The interest rate spread that the SSY enjoys over the
G-sec rate of comparable maturity is 75 basis points.
The interest rate since its launch is as
follows:
From April 1, 2014: 9.1%
From April 1, 2015: 9.2%
From April 1, 2016 -June 30, 2016: 8.6%
From July 1, 2016 -September 30, 2016: 8.6%
From October 1, 2016-December 31, 2016: 8.5%
From July 1, 2017- December 31, 2017: 8.3%
From Jan 1, 2018- 31 March,2018 is 8.1%
Interest at the rate, to be notified by the government,
compounded yearly will be credited to the account.
In case the account holder opts for monthly
interest, the same will be calculated on the balance in the account on
completed thousands, in the balance which will be paid to the account holder
and the remaining amount in fraction of thousand will continue to earn
Interest After Maturity
of account– Earlier post
maturity also if account holder do not close the account he was eligible for
interest till final closure of the account but now No interest shall be payable
once the Account completes twenty-one years from the date of its opening.
No Interest on Deposit made on or after 10th day of Month
The interest shall be calculated for the calendar
month on the lowest balance in an Account on the deposits made between the
close of the tenth day and the end of the month. So Account holder will not get
any interest on amount deposited after 10th of the Month for the Month of
Deposit.
Option of Monthly Interest
Revised scheme do not gives option of Monthly
Interest.
Interest Compounding Monthly/ Yearly
Interest will be compounded yearly and will be
credited to account till the account completes twenty one years from the date
of opening. The interest shall be calculated for the calendar month on the
lowest balance in an Account on the deposits made between the close of the
tenth day and the end of the month.
Interest on Contribution in Excess of Rs. 1.50 Lakh Per Annum and
withdrawal of excess payment
Deposit in excess of one lakh fifty thousand rupees
in any financial year shall, if accepted due to any accounting error, not be
eligible for any interest and such amount, which is deposited in excess of an
annual ceiling of one lakh fifty thousand rupees, may be withdrawn anytime by
the depositor.
Maximum and Minimum Deposit- The account may be
opened with an initial deposit of one thousand
rupees and thereafter any amount in multiple of one
hundred rupees may be deposited subject to the condition that a minimum of one
thousand rupees shall be deposited in a financial year but the total money
deposited in an account on a single occasion or on multiple occasions shall not
exceed one lakh fifty thousand rupees in
a financial year.
Minimum – Rs, 1000/- Per Year
Maximum- Rs. 1,50,000/- Per Year
Term Period – Deposits can be made
till completion of Fifteen Years (Earlier it was fourteen years) from
the date of opening of the account. The maturity of the
account is 21 years from the date of opening of account.
In other words No Deposit for
the period from 16th to 21st Year of account.
Regularisation of irregular account and Penalty – Where minimum
amount of Rs. 1000/- a year has not been deposited than such irregular account
may be regularised on payment of a penalty of fifty rupees
per year along with the minimum subscription of Rs. 1000/-
for the year (s) of default any time till the account completes fourteen years.
Interest on Account in Default
If in the case of any Account, the default is not
regularised within fifteen years of the opening of the Account, then the whole
deposit, including the deposits made prior to the date of default, shall be
eligible only for interest rate prescribed for Post Office Savings Bank at the
time of its maturity and any amount credited wrongly by way of interest into an
Account under default shall be reverted to the Government account as soon as it
comes to the notice of the Bank or the post office concerned. ut if the default
occurred because of the death of the guardian of the Account holder who opened
the account than account holder will get interest as applicable to Sukanya
Samriddhi account.
Interest on Change in Status of Account holder to non-citizen or
non-resident of India
In the event of change of status of the Account
holder’s citizenship or residential status, no interest shall be deemed to
accrue to the Account from the change of such status and the Account shall be
deemed to be closed prematurely from that date. In case, any interest was
credited to the Account after the change of resident status or citizenship of
the Account holder, be reverted to the Government account by the post office or
the Bank concerned, immediately on being informed of such change in the status of
the Account holder.
Mode of Deposit – Deposit can be made in any of the following mode :-
a. cash
b. by cheque or demand draft drawn in favour of the
postmaster of the post office concerned or the Manager of the Bank concerned
where the Account is opened, with an endorsement on the back of such instrument
made and signed by the depositor indicating the name of the Account holder and
Account number in which the deposit is to be credited;
c.through electronic means (e-transfer) in the
concerned post office or Bank if such post office or bank has access to the
facility of CBS.
Date of Credit of Deposit Made
(a) where the deposit is made by cheque, the date of encashment
of the cheque;
(b) where the deposit is made by demand draft, the date of
submission of the same to the Bank or post office; and
(c) where the deposit is made by e-transfer, the date of
deposit.
Who can Operation the account and can the girl child operate the
account?
(1) The Account shall be operated by the guardian till the
beneficiary Account holder attains the age of ten years or till the beneficiary
Account holder attains the age of eighteen years.
(2) The Account shall be operated by the beneficiary Account
holder after such Account holder attains the age of eighteen years: Provided
that the Account may be operated by the beneficiary Account holder after such
Account holder attains the age of ten years.
Premature closure of account –
Though the duration of the Sukanya Samriddhi account
is 21 years from the date of the opening of the account but request for
premature closure can be made after 5 years from the date of opening of account
in following scenarios :-
1. Untimely death of
the account holder – In the
unfortunate event of death of the beneficiary account holder (girl child), the
account shall be closed immediately on production of death certificate issued
by the competent authority. In that case the balance at the credit of the
account shall be paid along with the accrued interest till the date of death
shall be paid to the guardian.
2. Account holder
become a non-citizen or NRI- If, after the opening
of an Account, the Account holder becomes a non-citizen or non-resident of
India, intimation to this effect shall be given by the guardian or the Account
holder to the post office or the Bank concerned, as the case may be, within a
period of one month from the date of such status of the Account holder’s
citizenship or resident status. No interest shall be deemed to accrue to the
Account from the change of such status and the Account shall be deemed to be
closed prematurely from that date and credit in the account will be returned to
along with interest due, to the Account Holder.
3. Extreme compassionate
grounds– Where the post office or the Bank concerned is
satisfied, in cases of extreme compassionate grounds such as medical support in
life-threatening diseases of the Account holder or death of the guardian, that
the operation or continuation of the Account is causing undue hardship to the
Account holder, it may, after complete documentation, by order and for reasons
to be recorded in writing, allow premature closure of the Account.
4. For Other Reasons– Premature closure of an Account may be permitted, anytime
after the opening of an Account, for any reason other than provided under this
sub-rule, and in which case the whole deposit shall be eligible only for the
interest rate prescribed for the Post Office Savings Bank.
Pass book
(1) On opening an Account, the guardian shall be
given a pass book bearing the name, address and date of birth of the Account
holder, date of opening of Account, Account number, name and address of the
guardian, relationship with the Account holder and the amount deposited.
(2) A duplicate passbook may be subsequently issued
in the event of loss, mutilation, etc., of the original passbook, on the
written request of the guardian or the Account holder, on payment of a fee of
fifty rupees and such fees shall be creditable to the Government account.
(3) The guardian or the Account holder shall have the
option to maintain the Account records exclusively in electronic form, provided
the post office or Bank concerned has access to the facility of CBS.
Transfer of account to other place –
(1) The Account may be transferred anywhere in India
and from or to post offices and from or to Banks and between post office and
Bank, free of cost on furnishing of proof of shifting of residence of either
the guardian or the Account holder and otherwise, on payment of a fees of one
hundred rupees to the post office or the Bank to which the transfer is made.
(2) The process of transfer shall be effected
electronically if the post office or the Bank concerned, has access to the
facility of CBS.
Pre-Mature Withdrawal for Education
(1) Withdrawal of upto a maximum of fifty per cent of
the balance in the Account at the end of the financial year preceding the year
of application for withdrawal, shall be allowed for the purpose of higher
education of the Account holder but such withdrawal shall not be allowed unless
the Account holder attains the age of eighteen years or has passed tenth
standard, whichever is earlier.
(2) The application for withdrawal shall be
accompanied by a documentary proof in the form of a confirmed offer of
admission of the Account holder in an educational institution or a fee-slip
from such institution clarifying such financial requirement.
(3) The withdrawal may be made as one lump sum or in
instalments, not exceeding one per year, for a maximum of five years, subject
to the limit specified in point (1) above.
(4) withdrawal shall be restricted to the actual
demand of fee and other charges required at the time of admission as shown in
the offer of admission or the relevant fee-slip issued by the educational
institution.
Closure on maturity or before maturity due to Marriage of Account
Holder and Payment of Interest
and Principal on Maturity
(1) The Account shall mature on completion of a
period of twenty-one years from the date of its opening but final closure of
the Account may be permitted before completion of such period of twenty one
years, if the account holder, on an application, makes a request for such
premature closure for reasons of intended marriage of the Account holder and on
furnishing of age proof confirming that the applicant will not be less than
eighteen years of age on the date of marriage. No such premature closure shall
be made before one month preceding the date of the marriage or after three
months from the date of such marriage.
(2) On maturity, the balance including interest
outstanding in the Account shall be payable to the Account holder, on an
application by the Account holder for closure of the Account, and on furnishing
documentary proof of her identity, residence and citizenship.
(3) No interest shall be payable once the Account
completes twenty-one years from the date of its opening.
Comparison with PPF in respect of Tax Benefit- Investment in Both PPF & Sukanya Samriddhi Account is
eligible for deduction under section 80C of the Income Tax Act, 1961. Like PPF
in Sukanya Samriddhi Account also Interest and Maturity amount is exempt from
Tax.
Benefits of Sukanya Samriddhi Account Scheme-
1. Higher Interest Rate
2. Tax Benefit Under Section 80C
3. Payment on Maturity to Girl Child.
4. Flexibility in Deposits- Any Number of time amount
can be deposits in Multiple of Rs. 100 subject to Maximum Limit of Rs. 1.50
Lakh per year.
5. Transferable Anywhere in India.
6. Even Girl Child can operate after she attains the
Age of 10 Year.
Source : https://taxguru.in/
